Electronics are generally cheaper online due to a combination of factors including lower overhead costs, increased market competition, and the ability to reach a wider customer base. Online retailers often have lower operating costs compared to brick-and-mortar stores, as they do not need to maintain physical locations, which reduces expenses related to rent, utilities, and staff. This cost savings is often passed on to consumers in the form of lower prices.

Market competition also plays a significant role in driving down prices. Online marketplaces like Amazon, eBay, and Newegg feature a vast array of products from various sellers, leading to fierce competition for customers. This competition forces retailers to offer competitive pricing to attract and retain customers. According to a report by Statista, the online retail market in the United States was valued at approximately $895.4 billion in 2022, and this growth is expected to continue, further intensifying price competition.

Additionally, online retailers can leverage data analytics to optimize their pricing strategies. By analyzing customer behavior and market trends, they can adjust prices dynamically to maximize profits while remaining competitive. For instance, Amazon's "Dynamic Pricing" allows the company to adjust prices in real-time based on demand, competition, and other factors.

Data from the U.S. Census Bureau indicates that the average price of electronics purchased online is approximately 10-15% lower than the same products purchased in physical stores. This discrepancy is primarily due to the factors mentioned above. Furthermore, online shopping eliminates the need for transportation costs, as customers can have products delivered directly to their doorstep, which can also contribute to lower overall prices.

In conclusion, electronics are cheaper online due to lower overhead costs, increased market competition, and the ability to leverage data analytics for dynamic pricing. These factors combine to create a more cost-effective shopping experience for consumers.